Donor’s Tax Atty. Tristan Lopez CPA

1. Characteristics of donor’s tax except

a. National b. General c. Ad valorem d. Proportionate e. Property

2. First statement: The donor’s tax shall apply, whether the gift is direct or indirect, and
whether the property is real or personal, tangible or intangible, even if the transfer is
merely in trust.
Second statement: Any contribution in cash or in kind to any candidate, political
party or coalition of parties for campaign purposes shall be subject to donor’s tax.
a. True, True b. True, False c. False, False d. False, True
3. The following are the requisites of donation, except:
a. Acceptance of the donor
b. Delivery whether actual or constructive
c. Donative intent
d. Capacity of the donor to gratuitously dispose his property

4. The following are the modes of a valid donation, except

a. Verbal/oral donation whereby the gift is a ballpoint pen valued at Php500.
b. Donation in writing of an Apple Watch Series 7 valued at Php35,000
c. Donation in writing of a parcel of land whereby both the deed of donation and its
acceptance is made in public document.
d. Oral donation of a shoe valued at Php20,000

5. Victron had dinner with Donnabelle on December 27, 2017. During said dinner, the
platinum nose ring, fairly valued then at Php375,000, which Victron was wearing
caught Donnabelle’s attention. She was very much fascinated with the same. In
order to impress Donnabelle, Victron offered to give the nose ring to Donnabelle
which the latter accepted. They agreed to have it cleaned by Victron first and they
will meet again on January 1, 2018. On the said appointed day, Victron have the
nose ring delivered to Donnabelle and the Deed of donation along with the deed of
acceptance were likewise executed on the said day.

The last day for filing and payment of donor’s tax is on.
a. January 26, 2018 b. February 25, 2018 c. January 30, 2018 d. February
14, 2018

6. The applicable donor’s tax rate is.

a. 6% b. 4% c. 2% d. 0%

7. The taxable net gift amounts to.

a. Php275,000 b. Php125,000 c. Php375,000 d.Php187,500

8. The following are taxable on their worldwide donations, except

a. Resident citizen
b. Non-resident citizen
c. Resident alien
d. Non-resident alien

9. First Statement - Condonation of debt whereby the debtor is required to render some
service is considered a taxable gift.
Second Statement – Encumbrance assumed by the donor is a deduction from the
gross gift.

a. True, true b. true, false c. false, false d. false, true

 
 

10. The following are the requisites in order that the donation of an immovable may be
valid, except:
a. The deed of donation must be in writing and must be in a public instrument,
i.e., notarized
b. The deed of acceptance must be in a separate document.
c. The donor shall be notified, in an authentic form, of the acceptance by the
donee and this step shall be noted in both instruments
d. The donation and acceptance must be take place during the lifetime of the
donor

11. First statement – Renunciation by the surviving spouse of his/her share in the
conjugal partnership or absolute community after the dissolution of the marriage in
favor of the heirs of the deceased spouse of any other person is subject to donor’s
tax.
Second Statement – General renunciation of an heir, including the surviving spise, of
his/her share in the hereditary estate left by the decedent is not subject to donor’s
tax, unless specifically and categorically done in favor of identified heirs, to the
exclusion or disadvantage of the other co-heirs in the hereditary estate.
a. True, true b. true, false c. false, false d. false, true
12. The following are exclusions/deductions from gross gift, except
a. Gift made in favor of the Government or any political subdivisions
b. Gift made in favor of the International Rice Research Institute
c. Gift made in favor of the Integrated Bar of the Philippines
d. Gift made in favor of the Development Academy of the Philippines
e. Gift in favor of non-profit educational and/or charitable, religious, cultural or social
welfare corporation, whereby 40% of said gift is to be used for administration
purpose

13. The following are exclusions/deductions from the gross gift, except
a. Gift given by a parent (donor), on account of marriage of the donor’s child, at an
amount not exceeding Php10,000
b. Encumbrance assumed by the donee.
c. Donations of personal computers, laptops, tablets, or similar equipment
appropriate for use in schools, donated for distribution to public schools
regardless of level, including state universities and colleges (SUCs) and
vocational institutions under TESDA (Bayanihan to Recover As One Act)
d. Donations to Intramuros Administration

Numbers 14 to 17 are based on the following:

Juan Luis Cruzado made the following donations, with fair market value at the time of
donation, as follows:
January 5, 2020 Cash Php175,000
February 14, 2020 Wrist watch 200,000
November 1, 2020 Car subject to a mortgage of 500,000
Php250,000 assumed by the donee
January 5, 2021 Cash 250,000

14. Determine the donor’s tax on the January 5, 2020 donation:

a. Php10,500 b. Php0 c.Php7,500 d.Php15,000

15. Determine the donor’s tax due on the February 14, 2020:
a. Php10,500 b. Php0 c.Php7,500 d.Php15,000

16. Determine the donor’s tax due on the November 1, 2020 donation:
a. Php10,500 b. Php0 c.Php7,500 d.Php15,000

 
 

17. Determine the donor’s tax due on the January 5, 2021 donation:
a. Php10,500 b. Php0 c.Php7,500 d.Php15,000

Mr. Brian Jones, a citizen and resident of the United States gave the following to her
Filipina Fiancee:
1,000 San Miguel Par Value Php1
Corporation, common Mean value of the highest and lowest quote at donation Php100
shares
Condominium unit Zonal Value Php7,000,000
with zonal value of Assessed Value Php5,000,000
Php7,000,000 and
assessed value of
Php5,000,000
Car in California, USA Php1,500,000

18. Determine the donor’s tax liability of Mr. Jones:

a. Php411,000 b. Php405,000 c. Php250,000 d. Php100,00
19. Assuming the United states exempts Filipino donors from donor’s tax, how much
is the donor’s tax liability of Mr. Jones.
a. Php411,000 b. Php405,000 c. Php250,000 d. Php100,00

Mr. Sofronio and his wife made the following donations during the year:

January 25 Cash amounting to Php500,000 to the brother of the husband. The car is
subject to a mortgage of Php100,000.
March 30 Car valued at 1,200,000 to their daughter, on account of the daughter’s
marriage.
June 1 To the sister of Mrs. Sofronio, diamond ring valued at Php800,000 which was
inherited by Mrs. Sofronio, during their marriage.

20. Donor’s tax due from Mr. Sofronio, on the donation made in January 25.
a. Php0 b. Php15,000 c. Php33,000 d. Php48,000
21. Donor’s tax due from Mrs. Sofronio on the donation made in March 30, 2020:
a. Php0 b. Php15,000 c. Php33,000 d. Php48,000

22. Donor’s tax due from Mrs. Sofronio on the donation made in June 1, 2020:
a. Php0 b. Php15,000 c. Php33,000 d. Php48,000

23. First Statement – The donor’s tax return shall be filed within thirty (30) days after the
date the gift is made or completed and the tax due thereon shall be paid at the same
time that the return is filed.
Second Statement – In order to be exempt from donor’s tax and to claim full
deduction of the donation given to qualified – donee institutions duly accredited, the
donor engaged in business shall give a notice of donation on every donation worth
at least fifty thousand pesos (Php50,000) to the Revenue District Office (RDO) which
has jurisdiction over his place of business.

a. True, true b. true, false c. false, false d. false, true

That in all things God will be glorified